Platform & Fund Switch

sparky0138

I'm looking for some advise please. My mum will probably open a Vanguard SIPP when it's finally released but until then she's looking to transfer platforms from Old Mutual Wealth to Fidelity and switch a single fund to a VLS.

Can anyone tell me please if there are any benefits to switching the platform first or the fund first?

There are no entry/exit fees for switching funds or platforms involved.

george4064

Which single fund does your mum currently hold with Old Mutual Wealth?


Effectively it shouldn't make a difference, but some fund managers are slowing than others or some may have a reputation of being slow or fast when re-registering units from one platform to another.

sparky0138

george4064 wrote: »

Which single fund does your mum currently hold with Old Mutual Wealth?


Effectively it shouldn't make a difference, but some fund managers are slowing than others or some may have a reputation of being slow or fast when re-registering units from one platform to another.

It's QUILTER INVESTORS CIRILIUM CONS PORT -U ACC.

SonOf

Naff fund. Probably put in place by a restricted FA belonging to instrinsic (Intrinsic, Old Mutual Wealth and Cirilium/Quilter are all part of the same group)

Pretty much any low cost multi-asset fund would be a better option!

Albermarle

Normally cash transfers are quicker than transferring funds , so this would seem to make more sense as she is not even planning to stay in the same fund anyway . As soon as the cash arrives in the Fidelity SIPP , you can buy the VLS60 the same day .
She will be 'out of the market ' for a period whilst the transfer goes through but 50:50 anyway whether markets go up or down during the period.
Do you know that Fidelity often offer cashback for transfers . Not an offer period at the moment but might be worth calling then in case one starts soon. Typically you get £250 for £100K transfer.

Alexland

sparky0138 wrote: »

My mum will probably open a Vanguard SIPP when it's finally released

It's probably a bit early to decide given they haven't even released charges information yet. Even if it is the same 0.15% as their other accounts (usually pensions cost more) then there might be better options with fixed or capped fee platforms if she has a high enough account valuation.

If she is getting near drawing from her pension then she may wish to consider a cash buffer for times when investment returns are negative.

sparky0138

Albermarle wrote: »

Normally cash transfers are quicker than transferring funds , so this would seem to make more sense as she is not even planning to stay in the same fund anyway . As soon as the cash arrives in the Fidelity SIPP , you can buy the VLS60 the same day .
She will be 'out of the market ' for a period whilst the transfer goes through but 50:50 anyway whether markets go up or down during the period.
Do you know that Fidelity often offer cashback for transfers . Not an offer period at the moment but might be worth calling then in case one starts soon. Typically you get £250 for £100K transfer.

Thanks. I did notice Quidco are offering £100 cashback. She has almost £60,000 to transfer.

george4064

sparky0138 wrote: »

Thanks. I did notice Quidco are offering £100 cashback. She has almost £60,000 to transfer.

Lots of platforms will refund any costs you incur due to the transfer, off the top of my I know for sure that Hargreaves Lansdown and AJ Bell Youinvest will.

A lot of platforms also usually have refer a friend rewards, typically requires a minimum transfer of £10k or so. Your Mum’s assets will qualify easily, so now you just need to get someone to refer her from wherever she is moving too!